Abstract: Microbial encapsulation of materials is carried out by mixing a microbe with an encapsulatable material in liquid form in an aqueous medium to form an aqueous emulsion of the encapsulatable material. The encapsulatable material in the emulsion is absorbed into the microbe by diffusing across the microbe cell wall. The microbe has a lipid content of less than 40% by weight such as up to about 5% and may contain about 50-75% of the encapsulatable material. The emulsion is formed in the absence of a surfactant and the microbe is not treated with a lipid-extending substance or a plasmolyzer. The encapsulatable material can have a benzene or naphthalene ring and may be a perfume, an insecticide or a drug. If the material is normally solid, it can be dissolved in a solvent. The microbe may be treated to enhance permeability prior to or during encapsulation. After encapsulation, the microbe can be separated from the medium by centrifuging, freeze drying or spray-drying.